GCP 3q16 Earnings Slides

GCP Applied Technologies
Q3 2016 Investor Highlights
November 9, 2016
©2016 GCP Applied Technologies Inc. | Confidential

Forward Looking Statements
This presentation contains “forward-looking statements,” that is, information related to future, not past, events. Such statements
generally include the words “believes,” “plans,” “intends,” “targets,” “will,” “expects,” “suggests,” “anticipates,” “outlook,”
“continues” or similar expressions. Forward-looking statements include, without limitation, expected financial positions; results of
operations; cash flows; financing plans; business strategy; operating plans; capital and other expenditures; competitive positions;
growth opportunities for existing products; benefits from new technology and cost reduction initiatives, plans and objectives; and
markets for securities. Like other businesses, GCP is subject to risks and uncertainties that could cause its actual results to differ
materially from its projections or that could cause other forward-looking statements to prove incorrect. Factors that could cause
actual results to materially differ from those contained in the forward-looking statements, or that could cause other forward-
looking statements to prove incorrect, include, without limitation, risks related to: the cyclical and seasonal nature of the
industries that GCP serves; foreign operations, especially in emerging regions; changes in currency exchange rates; the cost
and availability of raw materials and energy; the effectiveness of GCP’s research and development, new product introductions
and growth investments; acquisitions and divestitures of assets and gains and losses from dispositions; developments affecting
GCP’s outstanding liquidity and indebtedness, including debt covenants and interest rate exposure; developments affecting
GCP’s funded and unfunded pension obligations; warranty and product liability claims; legal proceedings; uncertainties related to
GCP’s ability to realize the anticipated benefits of the spin-off /separation from W.R. Grace and the value of GCP’s common
stock following the spin-off; the inability to establish or maintain certain business relationships and relationships with customers
and suppliers or the inability to retain key personnel following the spin-off; and hazardous materials and the costs of compliance
with environmental regulation. These and other factors are identified and described in more detail in the “Risk Factors” section of
company’s Form 10-K filed March 29, 2016 and available online at www.sec.gov. Readers are cautioned not to place undue
reliance on GCP’s projections and forward-looking statements, which speak only as the date thereof. GCP undertakes no
obligation to publicly release any revision to the projections and forward-looking statements contained in this presentation, or to
update them to reflect events or circumstances occurring after the date of this presentation.
Non-GAAP Financial Measures

These slides contain certain “non-GAAP financial measures”. Please refer to the Appendix for definition of the non-GAAP
financial measures used herein and a reconciliation of those non-GAAP financial measures to their most comparable GAAP
measures.
©2016 GCP Applied Technologies Inc. | Confidential 2

Participants
Greg Poling
President and Chief Executive Officer
Dean Freeman
Vice President and Chief Financial Officer

Third Quarter 2016 Results
 Net sales down 12.1% to $342.5M, down 0.7% ex-FX to $345.7M(1)

− Combined construction businesses net sales(1,2) down 1.7% and up 3.4% YTD
− Darex(1,2) up 2.8% vs. 3Q15
 Adjusted EBIT(1,3) of $54.6M down 0.4% and up 11.9% YTD

− Combined construction businesses Adjusted EBIT(1,3) up 8.4% and 24.4% YTD
 Net income of $21.3M, Diluted EPS of $0.30, Adjusted EPS of $0.35(3)
 Cash from operating activities of $73.0M YTD; Adjusted FCF(3) of $70.8M YTD
(1) Excludes the impact of Venezuela.

(2) In constant currency.
(3) Refer to Appendix for reconciliations between GAAP and non-GAAP measures.

Consolidated Financial Highlights
$ in millions.
Net Sales
As Reported Ex. Venezuela
$389.7
$342.5 $348.2 $345.7
-0.7%
Adjusted YTD Free Cash Flow(1)
Constant Currency
$83.6
$70.8
3Q 2015 3Q 2016 3Q 2015 3Q 2016
Adjusted EBIT(1)
Ex. Venezuela
$77.6
$55.5 $54.8 $54.6 2015 YTD 2016 YTD
-370 bps +40 bps
19.9%
16.2% 15.7% 16.1%
3Q 2015 3Q 2016 3Q 2015 3Q 2016
©2016 GCP Applied Technologies Inc. | Confidential (1) Refer to Appendix for reconciliations between GAAP and non-GAAP measures. 5
Specialty Construction Chemicals
Markets, sells and manufactures concrete admixtures, cement additives and concrete
production management systems
$ in millions.
Q3 2016 $/% Delta YOY • Constant currency sales(1) decrease 3% Y/Y

- Concrete sales volumes decline of 5.7% due to slower
Net Sales(1) $160.9 (5)% demand in North America and regional economic events
affecting Europe and the Middle East
Net Sales(1) (Constant Currency) (2) $164.2 (3)% - Cement sales growth mid single digits in LATAM and Asia
Adjusted Gross Margin(1)(2) 38.3% 330 bps
Adjusted EBIT(1)(2) $22.8 27% • Adjusted Gross Margin(1,2) increases 330 bps
- Margin expansion reflects price, raw material deflation
Adjusted EBIT Margin(1)(2) 14.2% 350 bps and improved productivity partially offset by FX and lower
volume
• Adjusted EBIT(1,2) up 27% Y/Y

- Increase largely reflects improvement in Adjusted Gross
Margin
Factors Impacting Sales(1)
(4.0)% 1.2% (2.0)%
$169.0 $169.0 $175.8 $173.7 $160.9
Q3 2015 Volume Mix Price Currency Q3 2016

Specialty Building Materials
Markets, sells and manufactures building envelope, residential and specialty construction
products
$ in millions.
Q3 2016 $/% Delta YOY • Constant currency sales(1) flat Y/Y

Net Sales $100.6 (1)% - 9% Growth in North America on solid construction project
pipeline, offset by declines in Europe and Asia
Net Sales (Constant Currency)(1) $102.1 0%
Gross Margin 46.5% 120 bps • Gross Margin increases 120 bps
- Favorable price and raw material deflation partially offset
Adjusted EBIT(1) $25.6 (4)% by FX
Adjusted EBIT Margin(1) 25.4% (80) bps

• Adjusted EBIT Margin(1) decreases 80 bps
- Margin decline driven by higher corporate costs and
selling expenses offsetting price
Factors Impacting Sales
(1.2)% 1.3% (1.5)%
$102.0 $102.0 $103.2 $101.9 $100.6
(1) Refer to Appendix for reconciliations between GAAP and non-GAAP measures.
Darex Packaging Technologies
Markets, sells and manufactures sealants and coatings for use in beverage and food
containers and other consumer and industrial applications
$ in millions.
Q3 2016 $/% Delta YOY • Constant currency sales(1) increase 3% Y/Y

- 9% Coatings and Closures sales growth offset by
Net Sales(1) $77.6 1% Sealant sales declines in North America
- BPA-NI formulations continue to gain acceptance
Net Sales(1) (Constant Currency)(2) $79.4 3%
Adjusted Gross Margin(1)(2) 34.4% (70) bps • Adjusted GM(1,2) lower as volume
Adjusted EBIT(1)(2) $15.2 (7)% increases offset by mix and price
Adjusted EBIT Margin(1)(2) 19.6% (160) bps
• Adjusted EBIT(1,2) decreased 7% due to
higher corporate allocated costs
Factors Impacting Sales(1)
4.4% (1.5)% (2.3)%
$77.2 $77.6

2016 Updated Annual Guidance
 Revenue growth 1% - 3%
− Previously 4% – 6%(1)
 Adjusted EBIT $210 - $218 million

− Previously $210 - $225 million
 Tax rate 32% - 33%
 Adjusted EPS $1.38 - $1.45

− Previously $1.38 - $1.55(2)
 Adjusted Free Cash Flow ~$100 million
(1) 2016 GCP guidance assumes Q3 2015 FX rates carried forward into the guidance period
(2) Assumes 70.7M shares outstanding.

Summary
 Progressing on initiatives that support future growth expectations
 Margins and cash flow remain healthy
 Building on geographic diversity, strong market positions and

innovative products
 Focused on delivering superior value for customers and

shareholders

Appendix
GCP Applied Technologies Inc.
Consolidated Statements of Operations (unaudited)
Three Months Ended Nine Months Ended
September 30, September 30,
(In millions, except per share amounts) 2016 2015 2016 2015
Net sales $ 342.5 $ 389.7 $ 1,022.9 $ 1,086.1
Cost of goods sold 206.5 245.8 617.3 688.0
Gross profit 136.0 143.9 405.6 398.1
Selling, general and administrative expenses 75.0 72.9 220.4 217.5
Research and development expenses 5.9 5.6 17.1 16.8
Interest expense and related financing costs 18.8 0.3 49.0 1.1
Interest expense, net - related party — 0.3 — 0.7
Repositioning expenses 5.3 — 14.3 —
Restructuring expenses 0.4 2.3 1.4 9.9
Loss in Venezuela — 59.6 — 59.6
Other (income) expense, net (0.5) 1.1 3.3 1.3
Total costs and expenses 104.9 142.1 305.5 306.9
Income before income taxes 31.1 1.8 100.1 91.2
Provision for income taxes (9.6) (16.8) (29.8) (58.2)
Net income (loss) 21.5 (15.0) 70.3 33.0
Less: net income attributable to noncontrolling interests (0.2) (0.3) (0.9) (0.6)
Net income (loss) attributable to GCP shareholders $ 21.3 $ (15.3) $ 69.4 $ 32.4
Earnings Per Share Attributable to GCP Shareholders
Basic earnings per share:
Weighted average number of basic shares 71.0 70.5 70.8 70.5
Diluted earnings per share:
Weighted average number of diluted shares 72.2 70.5 71.6 70.5
Consolidated Balance Sheets (unaudited)
September 30, December 31,

(In millions, except par value and shares) 2016 2015
ASSETS
Current Assets
Cash and cash equivalents $ 148.5 $ 98.6
Trade accounts receivable, less allowance of $5.9 (2015—$6.2) 244.0 203.6
Inventories 117.3 105.3
Other current assets 47.0 38.9
Total Current Assets 556.8 446.4
Properties and equipment, net 226.1 197.1
Goodwill 107.6 102.5
Technology and other intangible assets, net 34.8 33.3
Deferred income taxes 83.1 17.6
Overfunded defined benefit pension plans 24.4 26.1
Other assets 28.2 10.1
Total Assets $ 1,061.0 $ 833.1
LIABILITIES AND STOCKHOLDERS' (DEFICIT) EQUITY
Current Liabilities
Debt payable within one year $ 23.2 $ 25.7
Accounts payable 118.1 109.0
Loans payable - related party — 42.3
Other current liabilities 133.0 125.5
Total Current Liabilities 274.3 302.5
Debt payable after one year 783.4 —
Deferred income taxes 9.1 8.7
Unrecognized tax benefits 11.6 5.2
Underfunded and unfunded defined benefit pension plans 82.8 34.0
Other liabilities 18.2 8.6
Total Liabilities 1,179.4 359.0
Commitments and Contingencies - Note 7
Stockholders' (Deficit) Equity
Net parent investment — 598.3
Common stock issued, par value $0.01; 300,000,000 shares authorized; outstanding: 71,030,386 0.7 —
Accumulated earnings 3.6 —
Accumulated other comprehensive loss (124.8) (127.7)
Treasury stock (1.8) —
Total GCP's Shareholders' (Deficit) Equity (122.3) 470.6
Noncontrolling interests 3.9 3.5
Total Stockholders' (Deficit) Equity (118.4) 474.1
Total Liabilities and Stockholders' (Deficit) Equity $ 1,061.0 $ 833.1
Consolidated Statements of Cash Flows (unaudited)
Nine Months Ended
September 30,
(In millions) 2016 2015
OPERATING ACTIVITIES
Net income $ 70.3 $ 33.0
Reconciliation to net cash provided by operating activities:
Depreciation and amortization 27.0 24.4
Amortization of debt discount and financing costs 2.0 —
Stock-based compensation expense 5.0 2.8
Gain on termination and curtailment of pension and other postretirement plans (2.6) —
Currency and other losses in Venezuela 4.2 73.2
Deferred income taxes 2.2 (7.3)
Excess tax benefits from stock-based compensation — (2.8)
Loss on disposal of property and equipment 0.5 3.9
Changes in assets and liabilities, excluding effect of currency translation:
Trade accounts receivable (37.0) (51.7)
Inventories (10.9) (13.2)
Accounts payable 9.4 17.1
Pension assets and liabilities, net 3.4 (0.6)
Other assets and liabilities, net (0.5) 23.1
Net cash provided by operating activities 73.0 101.9
INVESTING ACTIVITIES
Capital expenditures (33.3) (26.2)
Receipt of payment on loan from related party — 40.0
Other investing activities 0.5 0.4
Net cash (used in) provided by investing activities (32.8) 14.2
FINANCING ACTIVITIES
Borrowings under credit arrangements 294.3 27.6
Repayments under credit arrangements (30.7) (41.0)
Borrowings under related party loans — 2.1
Repayments under related party loans — (5.9)
Proceeds from issuance of bonds 525.0 —
Cash paid for debt financing costs (18.2) —
Share repurchase under GCP 2016 Stock Incentive Plan (1.8) —
Proceeds from exercise of stock options 3.8 —
Excess tax benefits from stock-based compensation — 2.8
Noncontrolling interest dividend (0.7) —
Transfers to parent, net (764.6) (69.6)
Net cash provided by (used in) financing activities 7.1 (84.0)
Effect of currency exchange rate changes on cash and cash equivalents 2.6 (53.1)
Increase (decrease) in cash and cash equivalents 49.9 (21.0)
Cash and cash equivalents, beginning of period 98.6 120.9
Cash and cash equivalents, end of period $ 148.5 $ 99.9
Analysis of Operations
The Company has set forth in the table below GCP's key operating statistics with percentage changes for the third quarter and nine months compared
with the corresponding prior-year periods. In the table, the Company presents financial information in accordance with U.S. GAAP, as well as certain
non-GAAP financial measures, which it describes below in further detail. GCP believes that the non-GAAP financial information supplements its
discussions about the performance of its businesses, improves period-to-period comparability and provides insight to the information that management
uses to evaluate the performance of its businesses. Management uses non-GAAP measures in financial and operational decision-making processes, for
internal reporting, and as part of its forecasting and budgeting processes, as these measures provide additional transparency to GCP's core operations.
In the table, the Company has provided reconciliations of these non-GAAP financial measures to the most directly comparable financial measures
calculated and presented in accordance with U.S. GAAP. These non-GAAP financial measures should not be considered substitutes for financial
measures calculated in accordance with U.S. GAAP, and the financial results that the Company calculates and presents in the table in accordance with
U.S. GAAP, as well as the corresponding reconciliations from those results, should be carefully evaluated.
Constant currency means current period revenue in local currency translated using prior period exchange rates. GCP uses constant currency in
assessing trends in sales excluding the impact of fluctuations in foreign currency exchange rates.
Net Sales excluding Venezuela; Net Sales, Constant Currency excluding Venezuela; Adjusted EBIT excluding Venezuela; Adjusted EBIT Margin
excluding Venezuela; and Adjusted Gross Margin excluding Venezuela mean GCP’s combined results or respective segment results excluding the
financial results of its Venezuela operations. These are non-GAAP measures and should be reviewed in conjunction with the related GAAP measures.
GCP uses these non-GAAP measures to assess its operating results independent of the impacts of extreme hyperinflation and geopolitical factors.
Management believes that providing these metrics may allow investors to better analyze and compare GCP’s results of operations with peer companies
whose operations may not be impacted by the economic challenges facing Venezuela.
Adjusted EBIT (a non-GAAP financial measure) means net income attributable to GCP shareholders adjusted for interest income; interest expense and
related financing costs; income taxes; currency and other financial losses in Venezuela; restructuring and repositioning expenses and asset
impairments; pension costs other than service and interest costs, expected returns on plan assets, and amortization of prior service costs/credits;
income and expense items related to certain product lines and investments; gains and losses on sales of businesses, product lines and certain other
investments; third-party acquisition-related costs; and certain other items that are not representative of underlying trends. Adjusted EBIT Margin means
Adjusted EBIT divided by net sales. GCP uses Adjusted EBIT to assess and measure its operating performance and in determining performance-based
compensation. GCP uses Adjusted EBIT as a performance measure because it provides improved period-to-period comparability for management's
decision-making and compensation purposes and because it allows management to measure the ongoing earnings results of the Company's strategic
and operating decisions.
Adjusted EBITDA (a non-GAAP financial measure) means Adjusted EBIT adjusted for depreciation and amortization. GCP uses Adjusted EBITDA as a
performance measure in making significant business decisions.
Adjusted Earnings Per Share (a non-GAAP financial measure) means earnings per share ("EPS") on a diluted basis adjusted for costs related to
restructuring and repositioning expenses and asset impairments; pension costs other than service and interest costs, expected return on plan assets,
and amortization of prior service costs/credits; gains and losses on sales of businesses, product lines and certain other investments; third-party
acquisition-related costs; other financing costs associated with the modification or extinguishment of debt; certain other items that are not representative
of underlying trends; and certain discrete tax items. GCP uses Adjusted EPS as a performance measure to review its diluted earnings per share results
on a consistent basis.
Adjusted Gross Profit (a non-GAAP financial measure) means gross profit adjusted for pension-related costs and loss in Venezuela included in cost of
goods sold. Adjusted Gross Margin means Adjusted Gross Profit divided by net sales. Management uses this performance measure to understand
trends and changes and to make business decisions regarding core operations. We note that the devaluation loss in Venezuela results primarily from
geopolitical factors.
Adjusted Free Cash Flow (a non-GAAP financial measure) means net cash provided by or used for operating activities minus capital expenditures plus
cash paid for restructuring and repositioning; taxes paid for repositioning; capital expenditures related to repositioning; accelerated payments under
defined benefit pension arrangements; and expenditures for legacy items. GCP uses Adjusted Free Cash Flow as a liquidity measure to evaluate its
ability to generate cash to support its ongoing business operations, to invest in its businesses, to provide a return of capital to shareholders and to
determine payments of performance-based compensation.
Adjusted EBIT Return On Invested Capital (a non-GAAP financial measure) means Adjusted EBIT (on a trailing four quarters basis) divided by the sum
of net working capital, properties and equipment and certain other assets and liabilities. Management uses Adjusted EBIT Return On Invested Capital
as a performance measure to review investments and to make capital allocation decisions.
Adjusted EBIT, Adjusted EBIT excluding Venezuela, Adjusted EBITDA, Adjusted EPS, Adjusted EBIT Return on Invested Capital, Adjusted Gross
Margin, Adjusted Gross Margin excluding Venezuela, Adjusted EBIT Margin, Adjusted EBIT Margin excluding Venezuela and Adjusted Free Cash Flow
do not purport to represent income measures as defined under U.S. GAAP. These measures are provided to improve the period-to-period comparability
and peer-to-peer comparability of GCP's financial results and to ensure that investors understand the information GCP uses to evaluate the
performance of its businesses.
Adjusted EBIT has material limitations as an operating performance measure because it excludes costs related to income and expenses from
restructuring and repositioning activities, which historically has been a material component of our net income. Adjusted EBITDA also has material
limitations as an operating performance measure because it excludes the impact of depreciation and amortization expense. GCP's business is
substantially dependent on the successful deployment of capital, and depreciation and amortization expense is a necessary element of its costs. GCP
compensates for the limitations of these measurements by using these indicators together with net income as measured under GAAP to present a
complete analysis of its results of operations. Adjusted EBIT and Adjusted EBITDA should be evaluated together with net income measured under
GAAP for a complete understanding of GCP's results of operations.
The Company does not provide GAAP earnings on a forward-looking basis because the Company is unable to estimate with reasonable certainty
unusual or unanticipated charges, expenses or gains without unreasonable effort. These items are uncertain, depend on various factors, and could be
material to the Company’s results computed in accordance with GAAP.
Analysis of Operations (unaudited)
Three Months Ended September 30, Nine Months Ended September 30,
(In millions) 2016 2015 % Change 2016 2015 % Change
Net sales:
Specialty Construction Chemicals $ 162.8 $ 201.9 (19.4 )% $ 466.6 $ 534.2 (12.7 )%
Specialty Building Materials 100.6 102.0 (1.4 )% 318.5 297.6 7.0 %
Darex Packaging Technologies 79.1 85.8 (7.8 )% 237.8 254.3 (6.5 )%
Total GCP net sales $ 342.5 $ 389.7 (12.1 )% $ 1,022.9 $ 1,086.1 (5.8 )%
Net sales by region:
North America $ 143.8 $ 141.6 1.6 % $ 427.9 $ 401.2 6.7 %
Europe Middle East Africa (EMEA) 79.5 88.9 (10.6 )% 249.3 260.7 (4.4 )%
Asia Pacific 81.9 83.3 (1.7 )% 242.6 248.6 (2.4 )%
Latin America 37.3 75.9 (50.9 )% 103.1 175.6 (41.3 )%
Total net sales by region $ 342.5 $ 389.7 (12.1 )% $ 1,022.9 $ 1,086.1 (5.8 )%
Net Sales excluding Venezuela:

Specialty Construction Chemicals 160.9 169.0 (4.8 )% 461.3 480.8 (4.1 )%
Darex Packaging Technologies 77.6 77.2 0.5 % 233.8 239.1 (2.2 )%
Total GCP Net Sales excluding Venezuela (non-
GAAP) $ 339.1 $ 348.2 (2.6 )% $ 1,013.6 $ 1,017.5 (0.4 )%
Net Sales, Constant Currency excluding

Venezuela:
Specialty Construction Chemicals $ 164.2 169.0 (2.8 )% 481.0 480.8 —%
Specialty Building Materials 102.1 102.0 0.1 % 323.8 297.6 8.8 %
Darex Packaging Technologies 79.4 77.2 2.8 % 242.5 239.1 1.4 %
Total GCP Net Sales, Constant Currency
excluding Venezuela (non-GAAP) $ 345.7 $ 348.2 (0.7 )% $ 1,047.3 $ 1,017.5 2.9 %
Analysis of Operations (unaudited) (continued)
(In millions, except per share amounts) 2016 2015 % Change 2016 2015 % Change
Profitability performance measures:
Adjusted EBIT(A):
Specialty Construction Chemicals segment operating
income $ 23.2 $ 37.2 (37.6 )% $ 53.7 $ 66.9 (19.7 )%
Specialty Building Materials segment operating
income 25.6 26.7 (4.1 )% 88.9 73.3 21.3 %
Darex Packaging Technologies segment operating
income 15.9 20.9 (23.9 )% 51.2 56.0 (8.6 )%
Corporate costs(B) (7.1) (5.9) (20.3 )% (23.2) (16.5) (40.6 )%
Certain pension costs(C) (2.1) (1.3) (61.5 )% (6.3) (3.8) (65.8 )%
Adjusted EBIT (non-GAAP) $ 55.5 $ 77.6 (28.5 )% $ 164.3 $ 175.9 (6.6 )%
Currency and other financial losses in Venezuela — (73.2) NM — (73.2) NM
Repositioning expenses (5.3) — NM (14.3) — NM
Restructuring expenses (0.4) (2.3) 82.6 % (1.4) (9.9) 85.9 %
Pension MTM adjustment and other related costs, net — — NM (2.7) (0.5) NM
Gain on termination and curtailment of pension and
other postretirement plans 0.2 — NM 2.6 — NM
Third-party acquisition-related costs (0.3) — NM (0.3) — NM
Other financing costs (1.2) — NM (1.2) — NM
Interest expense, net (17.6) (0.6) NM (47.8) (1.7) NM
Provision for income taxes (9.6) (16.8) 42.9 % (29.8) (58.2) 48.8 %
Net income attributable to GCP shareholders
(GAAP) $ 21.3 $ (15.3) NM $ 69.4 $ 32.4 114.2 %
Diluted EPS (GAAP) $ 0.30 $ (0.22) NM $ 0.97 $ 0.46 110.9 %
Adjusted EPS (non-GAAP) $ 0.35 $ 1.12
Adjusted EBIT excluding Venezuela:

income excluding Venezuela $ 22.8 $ 18.0 26.7 % $ 52.5 $ 40.4 30.0 %
income excluding Venezuela 25.6 26.7 (4.1 )% 88.9 73.3 21.3 %
income excluding Venezuela 15.2 16.4 (7.3 )% 49.4 51.3 (3.7 )%
Corporate costs(B) (6.9) (5.0) (38.0 )% (19.9) (14.1) (41.1 )%
Certain pension costs(C) (2.1) (1.3) (61.5 )% (6.3) (3.8) (65.8 )%
Adjusted EBIT excluding Venezuela (non-GAAP) $ 54.6 $ 54.8 (0.4 )% $ 164.6 $ 147.1 11.9 %
Adjusted profitability performance measures:
Gross Profit:
Adjusted Gross Profit (non-GAAP) 136.4 157.7 (13.5 )% 407.0 412.7 (1.4 )%
Loss in Venezuela in cost of goods sold — (13.7) NM — (13.7) NM
Pension costs in cost of goods sold (0.4) (0.1) NM (1.4) (0.9) (55.6 )%
Total GCP Gross Profit (GAAP) 136.0 143.9 (5.5 )% 405.6 398.1 1.9 %
Gross Margin:
Specialty Construction Chemicals 38.2 % 39.3 % (1.1) pts 36.8 % 35.6 % 1.2 pts
Specialty Building Materials 46.5 % 45.3 % 1.2 pts 47.0 % 44.8 % 2.2 pts
Darex Packaging Technologies 34.6 % 37.5 % (2.9) pts 36.0 % 35.2 % 0.8 pts
Adjusted Gross Margin (non-GAAP) 39.8 % 40.5 % (0.7) pts 39.8 % 38.0 % 1.8 pts
Loss in Venezuela in cost of goods sold — % (3.5 )% NM —% (1.3 )% NM
Pension costs in cost of goods sold (0.1 )% —% NM (0.1 )% (0.1 )% 0.0 pts
Total GCP Gross Margin (GAAP) 39.7 % 37.0 % 2.7 pts 39.7 % 36.6 % 3.1 pts
Adjusted Gross Profit excluding Venezuela:
Specialty Construction Chemicals excluding
Venezuela $ 61.6 $ 59.2 4.1 % $ 169.3 $ 161.5 4.8 %
Specialty Building Materials excluding Venezuela 46.8 46.2 1.3 % 149.7 133.2 12.4 %
Darex Packaging Technologies excluding Venezuela 26.7 27.1 (1.5 )% 83.5 83.4 0.1 %
Adjusted Gross Profit excluding Venezuela (non-
GAAP) 135.1 132.5 2.0 % 402.5 378.1 6.5 %
Pension costs in cost of goods sold (0.4) (0.1) NM (1.4) (0.9) (55.6 )%
Total GCP Adjusted Gross Profit excluding
Venezuela (non-GAAP) 134.7 132.4 1.7 % 401.1 377.2 6.3 %
Adjusted Gross Margin excluding Venezuela:
Specialty Construction Chemicals excluding
Venezuela 38.3 % 35.0 % 3.3 pts 36.7 % 33.6 % 3.1 pts
Specialty Building Materials excluding Venezuela 46.5 % 45.3 % 1.2 pts 47.0 % 44.8 % 2.2 pts
Darex Packaging Technologies excluding Venezuela 34.4 % 35.1 % (0.7) pts 35.7 % 34.9 % 0.8 pts
Adjusted Gross Margin excluding Venezuela (non-
GAAP) 39.8 % 38.1 % 1.7 pts 39.7 % 37.2 % 2.5 pts
Pension costs in cost of goods sold (0.1 )% —% NM (0.1 )% (0.1 )% 0.0 pts
Total GCP Adjusted Gross Margin excluding
Venezuela (non-GAAP) 39.7 % 38.0 % 1.7 pts 39.6 % 37.1 % 2.5 pts
Some percentage totals may not add due to rounding
Adjusted profitability performance measures(A)(B)(C):
Adjusted EBIT(A)(B)(C):
income $ 23.2 $ 37.2 (37.6 )% $ 53.7 $ 66.9 (19.7 )%
income 25.6 26.7 (4.1 )% 88.9 73.3 21.3 %
income 15.9 20.9 (23.9 )% 51.2 56.0 (8.6 )%
Corporate and certain pension costs (9.2) (7.2) (27.8 )% (29.5) (20.3) (45.3 )%
Total GCP Adjusted EBIT (non-GAAP) 55.5 77.6 (28.5 )% 164.3 175.9 (6.6 )%
Depreciation and amortization:
Specialty Construction Chemicals $ 5.1 $ 4.6 10.9 % $ 15.0 $ 13.8 8.7 %
Darex Packaging Technologies 1.6 1.3 23.1 % 4.8 3.8 26.3 %
Corporate — 0.2 NM 0.3 0.9 (66.7 )%
Total GCP 9.1 8.0 13.8 % 27.0 24.4 10.7 %
Adjusted EBITDA:
Corporate and certain pension costs (9.2) (7.0) (31.4 )% (29.2) (19.4) (50.5 )%
Total GCP Adjusted EBITDA (non-GAAP) 64.6 85.6 (24.5 )% 191.3 200.3 (4.5 )%
Adjusted EBIT Margin:
Specialty Construction Chemicals 14.3 % 18.4 % (4.1) pts 11.5% 12.5 % (1.0) pts
Specialty Building Materials 25.4 % 26.2 % (0.8) pts 27.9 % 24.6 % 3.3 pts
Darex Packaging Technologies 20.1 % 24.4 % (4.3) pts 21.5 % 22.0 % (0.5) pts
Total GCP Adjusted EBIT Margin (non-GAAP) 16.2 % 19.9 % (3.7) pts 16.1 % 16.2 % (0.1) pts
Adjusted EBITDA Margin:
Specialty Construction Chemicals 17.4 % 20.7 % (3.3) pts 14.7 % 15.1 % (0.4) pts
Specialty Building Materials 27.8 % 28.0 % (0.2) pts 30.1 % 26.6 % 3.5 pts
Darex Packaging Technologies 22.1 % 25.9 % (3.8) pts 23.5 % 23.5 % 0.0 pts
Total GCP Adjusted EBITDA Margin (non-GAAP) 18.9 % 22.0 % (3.1) pts 18.7 % 18.4 % 0.3 pts
Nine Months Ended

September 30,
Cash flow measure:
Net cash provided by operating activities $ 73.0 $ 101.9
Capital expenditures (33.3) (26.2)
Free Cash Flow (non-GAAP) 39.7 75.7
Cash paid for repositioning 14.7 —
Cash paid for restructuring 2.8 7.9
Capital expenditures related to repositioning 5.7 —
Cash taxes related to repositioning and restructuring 6.9 —
Accelerated pension plan contributions 1.0 —
Adjusted Free Cash Flow (non-GAAP) $ 70.8 $ 83.6
Four Quarters Ended

September 30, September 30,
Calculation of Adjusted EBIT Return On Invested Capital (trailing four quarters):
Adjusted EBIT $ 215.1 $ 225.9
Invested Capital:
Trade accounts receivable 244.0 234.4
Inventories 117.3 114.2
Accounts payable (118.1) (117.5)
243.2 231.1
Other current assets (excluding income taxes and related party loans receivable) 42.7 30.4
Properties and equipment, net 226.1 187.1
Goodwill 107.6 102.8
Technology and other intangible assets, net 34.8 34.2
Other assets (excluding capitalized financing fees) 23.7 8.8
Other current liabilities (excluding income taxes, restructuring, repositioning and accrued
interest) (107.2) (101.4)
Other liabilities (excluding other postretirement benefits liability) (18.2) (8.2)
Total invested capital $ 552.7 $ 484.8
Adjusted EBIT Return On Invested Capital (non-GAAP) 38.9 % 46.6%
(A) GCP's segment operating income includes only GCP's share of income of consolidated joint ventures.
(B) Management allocates all costs within corporate to each segment to the extent such costs are directly attributable to the segments.
(C) Certain pension costs include only ongoing costs recognized quarterly, which include service and interest costs, expected returns on
plan assets, and amortization of prior service costs/credits. SCC, SBM, and Darex segment operating income and corporate costs do
not include any amounts for pension expense. Other pension related costs including annual mark-to-market adjustments, actuarial
gains and losses, gains or losses from curtailments and terminations, and other related costs are excluded from Adjusted EBIT. These
amounts are not used by management to evaluate the performance of the GCP businesses and significantly affect the peer-to-peer and
period-to-period comparability of our financial results. Mark-to-market adjustments, actuarial gains and losses, and other related costs
relate primarily to changes in financial market values and actuarial assumptions and are not directly related to the operation of the GCP
businesses.
NM - Not meaningful
Venezuela – 2015 and 2016
Specialty Construction Chemicals
$M 1Q15 2Q15 3Q15 4Q15 2015 FY 1Q16 2Q16 3Q16

Revenue 8.7 11.8 32.9 1.0 54.3 0.7 2.7 1.9
Gross Profit 4.4 4.0 20.1 0.4 29.0 0.2 1.5 0.6
Gross Profit % 51.2% 34.3% 61.2% 40.7% 53.4% 28.6% 55.6% 31.6%
Adjusted EBIT 3.9 3.3 19.2 0.4 26.8 0.1 0.7 0.4
EBIT % 45.4% 27.9% 58.4% 35.5% 49.3% 14.3% 25.9% 21.1%
Darex Packaging Technologies
$M 1Q15 2Q15 3Q15 4Q15 2015 FY 1Q16 2Q16 3Q16

Revenue 2.7 3.9 8.6 0.9 16.2 1.5 1.0 1.5
Gross Profit (0.3) 1.3 5.0 0.2 6.2 1.3 0.2 0.7
Gross Profit % -11.8% 33.5% 58.3% 25.7% 38.6% 86.7% 20.0% 46.7%
Adjusted EBIT (0.7) 0.9 4.5 0.2 4.9 1.1 0.0 0.7
EBIT % -24.0% 22.4% 52.0% 22.5% 30.3% 73.3% 0.0% 46.7%
Corp Other
$M 1Q15 2Q15 3Q15 4Q15 2015 FY 1Q16 2Q16 3Q16

Revenue 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Gross Profit 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Gross Profit %
Adjusted EBIT (0.7) (0.8) (0.9) (0.0) (2.4) (1.1) (2.0) (0.2)
EBIT %
Venezuela Consolidated
$M 1Q15 2Q15 3Q15 4Q15 2015 FY 1Q16 2Q16 3Q16

Revenue 11.4 15.6 41.5 1.9 70.5 2.2 3.7 3.4
Gross Profit 4.1 5.3 25.2 0.6 35.3 1.5 1.7 1.3
Gross Profit % 36.0% 34.1% 60.6% 33.7% 50.0% 68.2% 45.9% 38.2%
Adjusted EBIT 2.6 3.4 22.8 0.5 29.3 0.1 (1.3) 0.9
EBIT % 22.8% 21.6% 54.8% 28.1% 41.5% 4.5% -35.1% 26.5%

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GCP Applied Technologies

Q3 2016 Investor Highlights

©2016 GCP Applied Technologies Inc. | Confidential

Non-GAAP Financial Measures

©2016 GCP Applied Technologies Inc. | Confidential 2

©2016 GCP Applied Technologies Inc. | Confidential 3

 Net sales down 12.1% to $342.5M, down 0.7% ex-FX to $345.7M(1)

 Adjusted EBIT(1,3) of $54.6M down 0.4% and up 11.9% YTD

 Net income of $21.3M, Diluted EPS of $0.30, Adjusted EPS of $0.35(3)

(1) Excludes the impact of Venezuela.

©2016 GCP Applied Technologies Inc. | Confidential 4

$55.5 $54.8 $54.6 2015 YTD 2016 YTD

-370 bps +40 bps

3Q 2015 3Q 2016 3Q 2015 3Q 2016

Q3 2016 $/% Delta YOY • Constant currency sales(1) decrease 3% Y/Y

• Adjusted EBIT(1,2) up 27% Y/Y

$169.0 $169.0 $175.8 $173.7 $160.9

Q3 2015 Volume Mix Price Currency Q3 2016

Q3 2016 $/% Delta YOY • Constant currency sales(1) flat Y/Y

Adjusted EBIT Margin(1) 25.4% (80) bps

(1.2)% 1.3% (1.5)%

$102.0 $102.0 $103.2 $101.9 $100.6

Q3 2015 Volume Mix Price Currency Q3 2016

Q3 2016 $/% Delta YOY • Constant currency sales(1) increase 3% Y/Y

4.4% (1.5)% (2.3)%

Q3 2015 Volume Mix Price Currency Q3 2016

(1) Excludes the impact of Venezuela.

 Adjusted EBIT $210 - $218 million

 Tax rate 32% - 33%

 Adjusted EPS $1.38 - $1.45

 Adjusted Free Cash Flow ~$100 million

©2016 GCP Applied Technologies Inc. | Confidential 9

 Progressing on initiatives that support future growth expectations

 Margins and cash flow remain healthy

 Building on geographic diversity, strong market positions and

 Focused on delivering superior value for customers and

©2016 GCP Applied Technologies Inc. | Confidential 10

September 30, December 31,

Net Sales excluding Venezuela:

Net Sales, Constant Currency excluding

Adjusted EBIT excluding Venezuela:

Nine Months Ended

Four Quarters Ended

$M 1Q15 2Q15 3Q15 4Q15 2015 FY 1Q16 2Q16 3Q16

Darex Packaging Technologies

$M 1Q15 2Q15 3Q15 4Q15 2015 FY 1Q16 2Q16 3Q16

$M 1Q15 2Q15 3Q15 4Q15 2015 FY 1Q16 2Q16 3Q16

$M 1Q15 2Q15 3Q15 4Q15 2015 FY 1Q16 2Q16 3Q16

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